Key highlights:
- Fold sold $45 million worth of Bitcoin to repay debt and strengthen its balance sheet.
- Unlike many treasury firms, Fold used Bitcoin gains to improve liquidity while maintaining substantial BTC exposure.
Fold cashes in part of its Bitcoin treasury
Fold Holdings has sold approximately $45 million worth of Bitcoin as part of a broader effort to eliminate debt and position the company for its next phase of growth.
The Nasdaq-listed Bitcoin financial services company disclosed that it sold BTC at an average price of roughly $71,000 per coin. The proceeds were used to repay secured debt and improve the company’s liquidity position.
Unlike many recent corporate Bitcoin transactions, the move was not driven by operational losses or an urgent need for cash. Instead, Fold described the sale as a balance-sheet optimization strategy designed to reduce leverage and strengthen its financial flexibility.
Debt repayment frees up hundreds of Bitcoin
According to company disclosures, Fold used part of the proceeds to repay approximately $20 million in Bitcoin-backed debt while retaining roughly $25 million to fund growth initiatives. The transaction also released hundreds of BTC that had previously been locked as collateral.
The restructuring leaves Fold with a cleaner balance sheet and improved monthly cash flow by eliminating interest expenses associated with the secured debt. CEO Will Reeves said the company believes the additional liquidity will provide greater flexibility as it continues expanding its Bitcoin-focused financial services business.
Fold emphasized that the sale does not represent a departure from its Bitcoin strategy.
The company still maintains a sizable Bitcoin treasury and continues to position BTC as a core part of its business model. As of June, Fold held roughly 1,492 BTC worth around $95 million, according to company disclosures.
A different approach from Strategy and other Bitcoin treasury firms
Fold’s decision stands out at a time when most corporate Bitcoin holders continue accumulating rather than selling.
Companies such as Strategy, Metaplanet, and Strive have largely relied on debt and equity offerings to increase their Bitcoin exposure. Fold, however, chose to monetize part of its holdings to improve its financial position while maintaining significant exposure to the asset.
The move highlights an increasingly important debate among Bitcoin treasury companies: should BTC be treated as an untouchable reserve asset, or should firms actively manage holdings to strengthen their balance sheets?
For Fold, the answer appears to be the latter.
The company has repeatedly stated that Bitcoin remains central to its long-term strategy, but management is also willing to use treasury assets when doing so creates shareholder value.
Growth remains the priority
Beyond debt repayment, Fold plans to use the remaining capital to support product development, marketing efforts, and potential expansion opportunities.
The company operates a suite of Bitcoin-focused financial products, including rewards cards and payment solutions that allow users to earn and spend BTC. In 2025, Fold generated $31.8 million in revenue and processed nearly $960 million in transaction volume, demonstrating growing demand for Bitcoin-native financial services.
The transaction may ultimately prove to be less about selling Bitcoin and more about positioning the company for future growth.
While some investors view corporate Bitcoin treasuries as long-term accumulation vehicles, Fold’s latest move shows that treasury management can also involve strategic capital allocation when market conditions present an opportunity.